Payroll Fed Withholding Deduction Glitch?

[viennabaptist]

I am trying to pay a new music director who has requested 0 exemptions on his W4. He is to be paid $300 weekly and is single. I have input and specified the appropriate tax table (single/weekly pay). By all manual calculations, his federal w/h should be $30.30 but the system is deducting $97.50. Similarly, I pay a custodian $472 per month who is married w/ 0 exemptions claimed. There should be $0 deducted but the system deducts $57. Again, I have input a married/monthly tax table.

I have overridden the tax tables with manual input but I'm trying to figure out what the problem is. Any ideas? I have made sure they are set up as weekly and monthly pay periods, respectively.

Christy

[NeilZ]

I am trying to pay a new music director who has requested 0 exemptions on his W4. He is to be paid $300 weekly and is single. I have input and specified the appropriate tax table (single/weekly pay). By all manual calculations, his federal w/h should be $30.30 but the system is deducting $97.50. Similarly, I pay a custodian $472 per month who is married w/ 0 exemptions claimed. There should be $0 deducted but the system deducts $57. Again, I have input a married/monthly tax table.

I have overridden the tax tables with manual input but I'm trying to figure out what the problem is. Any ideas? I have made sure they are set up as weekly and monthly pay periods, respectively.

Christy

A few questions:

Is the program on the current Maintenance Release -- should be 11/11/05 I believe??

Did you install the tables correctly?? Based on the calculations from Schedule E for 2006, you're correct on the 30.30. as well as the $0.00 for the custodian.
Verify they're correct by using the example on page 289 of the v9.0 manual. If you're using an earlier version let us know.

They're both salaried right, so they are set as salaried for the FedTax pay item ??

Unfortunately, that's as far as I can go ... now the developers at PowerChurch may have an idea to the cause. I hope they do, as I can then file that one away .

[Jeff]

Christy,

The problem is you have entered the weekly percentage table, not the yearly taxtable. You only have to enter the yearly table taxtable in and PC+ will use that to figure out the appropriate taxrate regardless of how many times a year a person is actually paid. Use the rates in table 7 in the circular E and that should solve your problem. This way both your weekly and monthly people can use the same table and you have fewer tables to change.

[viennabaptist]

Thanks to both of you Neil and Jeff. I had entered the weekly and monthly pay tables so I'll try the annual table. I'll check to see if I have the latest update . . . I use Version 9. Again, it's great to have a couple of friends to help

Christy